Replaces the ACA with a state block grant system similar to the Graham/Cassidy proposal beginning in FY 2020

Recommends new requirements within the 340B Drug Pricing Program including the imposition of a user fee, and the redistribution of 340B savings

Establishes an uncompensated care pool to distribute payments based on the share of charity care and non-Medicare bad debt, and significantly reduces Medicare bad debt payments

Expands “site-neutral” payment policies by eliminating protections that ensure off-campus hospital outpatient departments are paid at a rate that reflects the crucial role of hospitals in the health care system

Consolidates all graduate medical education funding into a single pool

Builds on the Administration’s Medicaid redesign efforts—including work requirements, eligibility requirements, and greater flexibility through waivers

Consolidates the Agency for Healthcare Research and Quality into the National Institutes of Health

Other key funding and program requests include:

Dedicating $10 billion in additional resources to support opioid abuse treatment and mental health services, including funding for certified community behavioral health clinics, state resources for overdose prevention activities and safe prescribing, and enhanced coverage under Medicare and Medicaid for substance abuse treatment

Modifying policies with the Medicare Part D prescription drug benefit and coverage of drugs under the Medicaid program in order to tackle drug costs, such as enhancing Part D plans’ negotiating power, encouraging utilization of higher value drugs, and discouraging drug pricing and rebate strategies that increase spending

Promoting liability relief intended to make health care more affordable and efficient, and ensure resources are maximized to benefit patients

Having passed a bipartisan budget deal last week that reallocates the current budget caps for defense and domestic discretionary programs and temporarily funds the government through March 23, Congress is now working to finalize funding decisions for the remainder of the current year. During the coming weeks, Congress will turn to the FY 2019 appropriations process. The priorities laid out by the President will help to inform that process but are not binding.